SemiLEDs Reports Third Quarter Fiscal Year 2020 Financial Results

HSINCHU, Taiwan--()--SemiLEDs Corporation (NASDAQ: LEDS), “SemiLEDs” or the “Company,” a developer and manufacturer of LED chips and LED components, today announced its financial results for the third quarter of fiscal year 2020, ended May 31, 2020.

Revenue for the third quarter of fiscal 2020 was $1.6 million, a 2% increase compared to $1.5 million in the second quarter of fiscal 2020. GAAP net loss attributable to SemiLEDs stockholders for the third quarter of fiscal 2020 was $513 thousand, compared to a gain of $348 thousand in the second quarter of fiscal 2020, or a net loss of $0.14 per diluted share, compared to a net gain of $0.08 per diluted share for the second quarter of fiscal 2020.

GAAP gross margin for the third quarter of fiscal 2020 was 27%, compared with gross margin for the second quarter of fiscal 2020 of 36%. Operating margin for the third quarter of fiscal 2020 was negative 47%, compared with negative 26% in the second quarter of fiscal 2020. The Company’s cash and cash equivalents was $2.5 million at May 31, 2020, compared to $3.2 million at the end of the second quarter of fiscal 2020.

We are unable to forecast revenue for the fourth quarter ending August 31, 2020 at this time given the uncertain impact of COVID-19 on the economy and the Company.

About SemiLEDs

SemiLEDs develops and manufactures LED chips and LED components for general lighting applications, including street lights and commercial, industrial, system and residential lighting, along with specialty industrial applications such as ultraviolet (UV) curing, medical/cosmetic, counterfeit detection, horticulture, architectural lighting and entertainment lighting. SemiLEDs sells blue, white, green and UV LED chips.

Forward Looking Statements

This press release contains statements that may constitute “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact could be deemed forward-looking, including, but not limited to, any statements about historical results that may suggest trends for SemiLEDs’ business; any statements of the plans, strategies and objectives of management for future operations; any statements of expectation or belief regarding recovery of the LED industry, market opportunities and other future events or technology developments; any statements regarding SemiLEDs’ position to capitalize on any market opportunities; and any statements of assumptions underlying any of the foregoing. These forward-looking statements are based on current expectations, estimates, forecasts and projections of future SemiLEDs’ or industry performance based on management’s judgment, beliefs, current trends and market conditions and involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. SemiLEDs’ Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) and other SemiLEDs filings with the SEC (which you may obtain for free at the SEC’s website at http://www.sec.gov) discuss some of the important risks and other factors that may affect SemiLEDs’ business, results of operations and financial condition. SemiLEDs undertakes no intent or obligation to publicly update or revise any of these forward looking statements, whether as a result of new information, future events or otherwise, except as required by law.

SEMILEDS CORPORATION AND SUBSIDIARIES

 

Unaudited Condensed Consolidated Balance Sheets

 

(In thousands of U.S. dollars)

 
 

 

 

May 31,

 

 

February 29,

 

 

 

 

2020

 

 

2020

 

 

ASSETS

 

 

 

 

 

 

 

 

 

CURRENT ASSETS:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

2,476

 

 

$

3,157

 

 

Restricted cash and cash equivalents

 

 

85

 

 

 

83

 

 

Accounts receivable (including related parties), net

 

 

1,452

 

 

 

1,011

 

 

Inventories

 

 

2,680

 

 

 

2,513

 

 

Prepaid expenses and other current assets

 

 

788

 

 

 

808

 

 

Total current assets

 

 

7,481

 

 

 

7,572

 

 

Property, plant and equipment, net

 

 

5,733

 

 

 

5,842

 

 

Operating lease right of use assets

 

 

237

 

 

 

273

 

 

Intangible assets, net

 

 

89

 

 

 

91

 

 

Investments in unconsolidated entities

 

 

935

 

 

 

928

 

 

Other assets

 

 

193

 

 

 

186

 

 

TOTAL ASSETS

 

$

14,668

 

 

$

14,892

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

CURRENT LIABILITIES:

 

 

 

 

 

 

 

 

 

Current installments of long-term debt

 

$

3,240

 

 

$

3,613

 

 

Accounts payable

 

 

748

 

 

 

618

 

 

Advance receipt toward the convertible note

 

 

500

 

 

 

500

 

 

Accrued expenses and other current liabilities

 

 

2,950

 

 

 

2,829

 

 

Operating lease liabilities, current

 

 

116

 

 

 

136

 

 

Total current liabilities

 

 

7,554

 

 

 

7,696

 

 

Long-term debt, excluding current installments

 

 

4,361

 

 

 

4,620

 

 

Operating lease liabilities, less current portion

 

 

121

 

 

 

137

 

 

Total liabilities

 

 

12,036

 

 

 

12,453

 

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

EQUITY:

 

 

 

 

 

 

 

 

 

SemiLEDs stockholders’ equity

 

 

 

 

 

 

 

 

 

Common stock

 

 

 

 

 

 

 

Subscribed stock

 

 

 

 

 

600

 

 

Additional paid-in capital

 

 

177,214

 

 

 

175,902

 

 

Accumulated other comprehensive income

 

 

3,667

 

 

 

3,676

 

 

Accumulated deficit

 

 

(178,298

)

 

 

(177,785

)

 

Total SemiLEDs stockholders' equity

 

 

2,583

 

 

 

2,393

 

 

Noncontrolling interests

 

 

49

 

 

 

46

 

 

Total equity

 

 

2,632

 

 

 

2,439

 

 

TOTAL LIABILITIES AND EQUITY

 

$

14,668

 

 

$

14,892

 

 

SEMILEDS CORPORATION AND SUBSIDIARIES

 

Unaudited Condensed Consolidated Statements of Operations

 

(In thousands of U.S. dollars and shares, except per share data)

 
 

 

 

Three Months Ended

 

 

 

 

May 31,

 

 

February 29,

 

 

 

 

2020

 

 

2020

 

 

Revenues, net

 

$

1,569

 

 

$

1,537

 

 

Cost of revenues

 

 

1,153

 

 

 

989

 

 

Gross profit

 

 

416

 

 

 

548

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

Research and development

 

 

375

 

 

 

307

 

 

Selling, general and administrative

 

 

782

 

 

 

633

 

 

Loss on disposals of long-lived assets

 

 

 

 

 

 

 

Total operating expenses

 

 

1,157

 

 

 

940

 

 

Loss from operations

 

 

(741

)

 

 

(392

)

 

Other income (expenses):

 

 

 

 

 

 

 

 

 

Gain on disposal of investment

 

 

 

 

 

634

 

 

Interest expenses, net

 

 

(95

)

 

 

(100

)

 

Other income (losses), net

 

 

270

 

 

 

167

 

 

Foreign currency transaction gain (losses), net

 

 

57

 

 

 

41

 

 

Total other income (expenses), net

 

 

232

 

 

 

742

 

 

Loss before income taxes

 

 

(509

)

 

 

350

 

 

Income tax expense

 

 

 

 

 

 

 

Net loss

 

 

(509

)

 

 

350

 

 

Less: Net gain (loss) attributable to noncontrolling interests

 

 

4

 

 

 

2

 

 

Net loss attributable to SemiLEDs stockholders

 

$

(513

)

 

$

348

 

 

Net loss per share attributable to SemiLEDs stockholders:

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.14

)

 

$

0.10

 

 

Diluted

 

$

(0.14

)

 

$

0.08

 

 

Shares used in computing net loss per share attributable to SemiLEDs stockholders:

 

 

 

 

 

 

 

 

 

Basic

 

 

3,738

 

 

 

3,613

 

 

Diluted

 

 

3,738

 

 

 

4,486

 

 

 

Contacts

Christopher Lee
Chief Financial Officer
SemiLEDs Corporation
+886-37-586788
investor@semileds.com

Contacts

Christopher Lee
Chief Financial Officer
SemiLEDs Corporation
+886-37-586788
investor@semileds.com